G20 countries to discuss common framework to define startups: Official

G20 countries, including India and the US, are holding consultations to arrive at a common framework to define startups with a view to promoting the growth of new ventures, a senior official said

G20 member countries, including India and the US, are holding consultations to arrive at a common framework to define startups with a view to promoting the growth of new ventures, a senior official said.

This issue among others would come up for discussion during the Startup20 Engagement Group's, under India's G20 presidency, third meeting on June 3-4 in Goa.

A common framework would help investors and other stakeholders of the startup ecosystem in the G20 member countries.

Briefing media about these meetings, Startup20 India Chair and Mission Director Atal Innovation Mission, Niti Aayog Chintan Vaishnav said that there are five task forces under this group - foundation, alliances, finance, inclusion, and sustainability.

 

The idea of the foundation is to come up with a startup definition framework which is applicable across different economies. When you talk about the global startup ecosystems coming together, working together, becoming interoperable, you realize that there are no common definitions of startups across these nations, he told reporters here.

The attempt is to provide a framework of choices from which a country can create a definition, he added.

Under alliances, the countries are trying to ensure that there is some form of platform to promote cooperation between key stakeholders of startup ecosystem such as incubators, and regulators.

Similarly, the idea of the finance task force is to unlock financing of startups in general for nations to invest in these enterprises and also cross-border investments.

There are many other financial issues like taxation of startups is a very major issue across the world, he said adding in the inclusion part, we are trying to focus on marginalised groups and empowering these groups by following best global practices.

Further, the idea of the sustainability task force is to say which are those startups that are willing to be measured by SDGs (sustainable development goals).

When asked about the possible outcomes from the summit meeting at Gurugram on July 3-4, he said it included adoption of policy communique on startups; a common framework to define startups; there is hope that there will be a global innovation centre or a global network of innovation centre that would implement what Startups 20 group wants to take forward into action.

Also a network of global points of contact. If a startup wants to go to another country, is there a way to enter into that ecosystem? Some kind of common financing of startups, how much money to allocate, how do you invest across borders; and mechanisms to support these marginalised communities and also support those startups that help the world achieve the SDGs, he added.

We are hoping for such kind of outcomes, Vaishnav said.

Under India's G20 presidency, Startup20 serves as a prime opportunity to foster collaboration, exchange ideas, and shape the future of startups and entrepreneurship on a global scale.

The focal point of the meeting will be to build consensus on the Draft Policy Communique, which the Startup20 recently published asking the public for feedback.

The meeting will feature a startup showcase, exciting talks as part of the Startup20x series, cultural experiences, and discussions on the implementation and benefits of the ideas outlined in the document.

Dignitaries from state, central, and international levels are expected to be present at the meeting, adding to the significance of the event.

The last date for providing views on the draft was May 27. The final version of the Policy Communique will incorporate the valuable inputs received from stakeholders across nations.

He added that hundreds of views have come on the draft.

After the Goa meeting, the group will finalise the communique and take it to the Gurugram meet.

There are about 8,50,000 startups across the G20 countries, out of which over 98,000 recognised startups are in India. There are about 1600 unicorns in these economies and about 108 are in India.